Primitive Adult Stem Cells Found In Peripheral Blood

April 18, 2006

Moraga Biotechnology Corporation, an adult stem cell company based in

Los Angeles, California, announces the discovery of its proprietary

Blastomere-Like Stem Cells (BLSCs) circulating in the peripheral

blood of mammals. The Company's scientists found that these adult

stem cells were able to differentiate into most tissues and organs of

the body.

The Company's scientists have developed a proprietary and cost-

effective method for isolating and purifying large numbers of its

primitive embryonic- like stem cells from the blood without ex vivo

expansion. Moraga recently announced that its BLSCs were found in

large numbers throughout the body. The Company believes this new

discovery is a major breakthrough for finding large numbers of

primitive adult stem cells circulating in the blood.

Moraga's chief executive, Dr. F. Wong, noted that the ability to

isolate these primitive embryonic-like stem cells in peripheral blood

allows the Company to enter the stem cell banking business in the

near future. With this new method for isolating stem cells, the

Company will be able to bank an individual's stem cells by simply

withdrawing a sample of their blood.

The Company intends in the very near future to establish processing

centers to which a donor's blood sample is shipped; the blood is

processed; and, the stem cells are isolated. The BLSCs are then

stored at the center for future therapeutic and diagnostic use. Dr.

Wong further stated that " by circumventing the expensive process of

isolating and expanding the stem cells outside the body, the Company

can now travel down a shorter path towards developing a near-term

solution for autologous stem cell-based therapies, from which its

BLSCs may be used for treating various forms of diseases such as

heart attacks, Parkinson's disease and stroke. "

Moraga Biotechnology Corporation

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